Ehrenreich v Kwong

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IN THE SUPREME COURT OF VICTORIA Not Restricted

AT MELBOURNE

PRACTICE COURT

No. 9471 of 1990

MARTIN EHRENREICH  and LISETTA EHRENREICH Plaintiffs
v
FRANCIS KWONG and SHIRLEY KWONG Defendants

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JUDGE:

Balmford J

WHERE HELD:

Melbourne

DATE OF HEARING:

29 October 2002

DATE OF JUDGMENT:

12 November 2002

CASE MAY BE CITED AS:

Ehrenreich v Kwong

MEDIUM NEUTRAL CITATION:

[2002] VSC 477

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PRACTICE – Execution – Leave to issue execution when more than 6 years elapsed since judgment – Supreme Court Rule 68.02

Supreme Court (General Civil Procedure) Rules 1996 – Rule 68.02

Solic v Bertossa [1969] VR 594
Dennehy v Reasonable Endeavours Pty Ltd [2001] VSC 447
The Gramophone Company Limited v Leo Feist Incorporated (1928) 41 CLR 1
James v Federal Commissioner of Taxation (1955) 93 CLR 631

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APPEARANCES:

Counsel Solicitors
For the Plaintiffs Mr M J Corrigan Jerrard and Stuk Lawyers
For the Secondnamed Defendant Mr S W Stuckey Lawcorp Lawyers

HER HONOUR:

  1. This is an appeal from an order of Master Wheeler made on 24 September 2002 in the following terms:

1.the Plaintiffs have leave to issue a warrant of execution notwithstanding 6 years has elapsed since judgment took effect.

2.The Secondnamed Defendant pay the Plaintiffs’ costs.

By virtue of Rule 77.05(7) of the Supreme Court (General Civil Procedure) Rules 1996 (“the Rules”) the appeal is by re-hearing de novo of the application to the Master, which was brought by summons on 19 July 2002.

  1. That application was brought pursuant to Rule 68.02 of the Rules, which reads, so far as relevant:

68.02Leave to issue warrant

(1)Notwithstanding Order 66, a warrant of execution to enforce a judgment shall not be issued without the leave of the Court in the following cases -

(a)where six years have elapsed since the judgment took effect;

..  .

(4)The application shall be supported by evidence on affidavit showing -

(a)where the judgment is for the payment of money, the amount, including any interest, due on the date of the application;

(b)where paragraph (1)(a) applies, the reasons for the delay;

..  .

(e)that the applicant is entitled to proceed to execution on the judgment; and

(f)that the person against whom execution is sought is liable to execution on the judgment.

  1. On 23 October 1990, that is, over twelve years ago, Master Wheeler pronounced judgment in favour of the plaintiffs against the defendants in the sum of $124,309.20 together with costs.   A warrant of seizure and sale was issued on 22 November 1990, but was not executed as the defendants could not be located.   The events which followed are set out at [10] and following below.

  1. On or about 6 September 2001 the plaintiffs received a communication relating to the debt, apparently deriving from a person engaged in the business of debt collection.   They then instructed their solicitors to make enquiries about the whereabouts of the defendants.   It was ascertained that the defendants had been the registered joint proprietors of the property known as 21 Fairview Street Hawthorn since…

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Details
Case
[2002] VSC 477
Decision Date

CaseChat Overview and Summary

In the matter of Ehrenreich v Kwong, the court was asked to consider whether leave should be granted to issue an execution order more than six years after the judgment was rendered. The case was heard in the Supreme Court of Victoria. The plaintiff, Ehrenreich, sought leave to issue an execution order against the defendant, Kwong, under Supreme Court Rule 68.02, after the expiration of the six-year period for obtaining execution as stipulated in the Supreme Court (General Civil Procedure) Rules 1996.

The legal issue before the court was whether the six-year limitation period for seeking execution under Rule 68.02 was absolute or if there were circumstances in which the court could grant leave to issue an execution order beyond this timeframe. The court considered relevant case law, including Solic v Bertossa and Dennehy v Reasonable Endeavours Pty Ltd, to determine the appropriate approach to the interpretation and application of Rule 68.02. Additionally, the court examined The Gramophone Company Limited v Leo Feist Incorporated and James v Federal Commissioner of Taxation for guidance on the interpretation of statutes and rules.

The court held that the six-year limitation period in Rule 68.02 was not absolute and that the court had the discretion to grant leave to issue an execution order beyond this period if the plaintiff could demonstrate exceptional circumstances. The court found that the plaintiff had not satisfied the requisite threshold for demonstrating exceptional circumstances, and thus, denied leave to issue an execution order. The court's decision was grounded in the interpretation of the rule and the relevant case law, which emphasised the importance of a balanced approach when considering applications for leave to issue an execution order beyond the statutory timeframe.

The final orders of the court were that the plaintiff's application for leave to issue an execution order was dismissed, with no order as to costs.

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